BTI 2014 LLC v Sequana SA and others; Sequana SA v BAT Industries plc and others

Company – Director. The judge had been correct in holding that two dividends paid by AWA to its parent company, Sequana, at a time when AWA was subject to contingent indemnity liabilities to another company in respect of clean-up costs and damages claims arising out of river pollution in the US, had fallen within s 423 of the Insolvency Act 1986. Accordingly, the Court of Appeal, Civil Division, dismissed Sequana's appeal. The court, among other things, also dismissed BTI's appeal against the decision that the dividends had not been paid in breach of the duty of the directors of AWA to have regard to the interests of its creditors.

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